belanaria t1_ixksoed wrote on November 24, 2022 at 4:37 AM

Reply to comment by Legal-Software in Manchester United may be up for sale, so is the team profitable? [OC] by NicuCalcea

So the amortisation is players and their contracts

belanaria t1_ixksgfs wrote on November 24, 2022 at 4:35 AM

Reply to comment by saintjimmy43 in Manchester United may be up for sale, so is the team profitable? [OC] by NicuCalcea

I’m pretty sure it the dividends they pay to the shareholders.

belanaria t1_ixks0jj wrote on November 24, 2022 at 4:31 AM

Reply to comment by KevinFromRadioShack in Manchester United may be up for sale, so is the team profitable? [OC] by NicuCalcea

Amortisation is of player contracts. It’s what they pay for the players divided by the number of years on the contract. So if a player cost 100m on a 5 year contract, then they will amortise 20m a season. If he renews then the remaining will be split over the new contract. So no they aren’t quite making money here. Big contracts, missing out on champions league (poor performances in the league for the last 10 years really) and constant dividends to the owners (uncommon in the industry) weigh down their finances.